AdamFx42

Support levels in Aud/Usd defined by Fibonacci Expansion targets

Long
FX:AUDUSD   Australian Dollar / U.S. Dollar
I am long Aud/Usd and here is why:

Weekly/daily Fibonacci Expansion level/target 61.8% expansion lies just below 0.75 (Fib Expansion 1)
Daily Fibonacci Expansion level 100% expansion is just below that at 0.746 (Fib Expansion 2)

Current price action is moving down fast - long daily bearish bar down,
so I expect price to move lower towards Fib Expansion 2 level of 100% before a move back up

But because of the possibility of rash price action all around the markets due to Eur/Greece fundamentals
I would not be surprised if the 61.8% Fibonacci Expansion 1 level just below 0.75 stops price action down

Also, if market can hold above 0.75 for a single day - we have the RBA interest decision coming up Tuesday morning;
all major banks concur that the interest rate will be left on hold - this is bullish Aud too
See:
news.forexlive.com/!...old-in-july-20150703

My plan is therefore two-fold:

1. Long Aud/Usd at market open is price is just above 0.75 -- where it is now;
so: Long @ 0.75 - 0.752 area, SL below 0.7494 - so: SL 0.7488,
and TP just below the broken 61.8% Fibonacci Expansion level Fibonacci Expansion 2, so: TP 0.7560

2. If Fibonacci Expansion level 1 - 61.8% - is broken to the downside, then:
Long Aud/Usd just above Fibonacci Level 100% expansion @ 0.7460, so: Long @ 0.7465 - 0.7475 area,
SL below 0.7460 - so SL 0.7455, and TP1 just below the now broken 61.8% Fibonacci Expansion level 1,
so: TP1 = half of my position: just below 0.7494, so: TP1: 0.7488, the rest of my position set to breakeven after this:
so SL2: enter level long 0.7465-0.7475 level, TP2 is the same as trade above (1.), so: TP2: 0.7560


To summarize (if you like it easy this will work too):

Aud/Usd long trades: 1. Buy 0.7510 -- SL 0.7488 --- TP 0.7560
2. Buy 0.7470 -- SL 0.7455 -- TP1 0.7488, TP2 0.7560
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